Energy UK’s vision looks to 2028 market of the future

TEN years after the passing of the Climate Change Act, Energy UK is launching a far-reaching project looking ahead to the next decade.

Its ‘Future of Energy’ vision document, to be revealed at its annual parliamentary reception this evening, identifies the challenges and opportunities of delivering a clean, green future energy system that will also meet consumer expectations.

The association, representing a diverse range of industry voices, will consider 2028 and what suppliers, generators and other players in the industry will need to be delivering in the energy market of the future.

Over the year, it will be publishing a series of thought pieces, following a major consultation with its members and other stakeholders. These will propose options on various key themes – from funding future generation and system services, to energy efficiency for domestic, industrial and commercial customers – as change accelerates, not only in the power market but other areas including transport and heating.

Meeting these future challenges, says the industry body, and providing an energy system that consumers see as fair and value for money, will benefit not only customers and the sector but the environment and UK economy as a whole.

Lawrence Slade, chief executive of Energy UK, said the way power is consumed, generated and transmitted is changing rapidly and that the future energy market will be “unrecognisable” from the one we have known.

Pointing to solar providing record levels of power over the past weekend and the UK recently going three days without any coal generation, he said:  “The energy system of the future will be smarter, cleaner, decentralised and diverse. It will offer multiple opportunities to benefit customers, the UK economy and the environment. Technological advances can transform not just how we generate and use energy but also our experience as customers.”

However, enabling that revolution sets a number of challenges and questions for us all, he added. “It will require the funding and creation of different infrastructure and sources, a level playing field for the growing number of participants and, most importantly, fairness so that all customers, including the vulnerable, benefit from these advances.

“The range of expertise and experience we have across our membership will play an integral role as we set out how best to meet these challenges.”

The Future of Energy vision’s topics to be addressed later this year are:

• Funding future electricity generation and system services
• Transporting energy to and from customers through transmission and distribution networks
• The future retail market and customers’ relationship with it
• Meeting the needs of vulnerable customers
• Improving energy efficiency for domestic, industrial and commercial customers
• How we can sustainably transition to a low-carbon heating system
• How we can deliver a smooth customer experience in transitioning to a low-carbon transport system